00:00China's real estate is still going through a bad time, and the real estate market has
00:07also begun to get its grip on the banking sector.
00:13China has not been able to hide its images from the world when a huge crowd of people
00:19gathered outside the banks to withdraw money.
00:21China's economy is going through such a bad time that people's ability to buy is
00:26getting worse and worse.
00:27The fact is that unemployment has reached its peak.
00:30China's aging population is becoming a big challenge for it, while the numbers that
00:35have come out of inflation are increasing people's worries.
00:38So what is going on in China's economy, let's know in the video.
00:43In fact, China had set a target of inflation of 2% for 2025, which is less than the previous
00:503% target.
00:51This shows that the second largest economy in the world is struggling with the pressure
00:58of deflation.
00:59For the past two years, the CPI has been made only 0.2%, which shows the heavy shortage
01:06of demand in the economy.
01:08In China, inflation at the factory level has also been in decline for 29 months in a row.
01:14However, the producer price index, i.e. the decline of PPI, decreased from minus 2.3%
01:20to minus 2.2% in February, which shows that the decline has slowed a little.
01:27China's exporter price index has fallen below zero for the first time in 13 months.
01:32These figures show that there is a decline in China's economy.
01:36According to figures issued by the Chinese government, the exporter price index in February
01:42fell by 0.7% on an annual basis.
01:45However, it was reported that the exporter price index, i.e. CPI, fell by 0.4%, but the
01:53actual decline was more.
01:55Retail inflation has fallen below zero for the first time in 13 months.
01:59Now, what is the effect on its economy?
02:01So see, going below zero of inflation is not a good sign for any country.
02:06It is called deflation, and due to deflation, it has a negative effect on the economy.
02:12As a result, people's ability to spend is decreasing, debt is increasing, unemployment
02:18is increasing.
02:19These figures show that the world's second largest economy is struggling with the pressure
02:24of deflation.
02:25Due to deflation, the economy is in dire need of demand.
02:29The lack of demand means that it is directly affecting the economy.
02:34China, which is showing the world its strength, is not able to handle its economy.
02:39But now the question is, why has this deflation come?
02:43Why is there a decline?
02:44So there is a decline due to two factors.
02:46In this, the statistician Dong Lizuan of the Government Bureau of Statistics has said
02:52that this time the Lunar New Year came early, and in addition, other factors have also contributed
02:58to the decline in prices in February.
03:00The first is that the better weather has increased agriculture, which has reduced the price of
03:06cars, and the second is that vehicle manufacturers have increased publicity to increase sales,
03:11which has reduced the prices of new cars.
03:13The Bureau of Statistics said that the producer price index, which measured the price of things,
03:19fell by 2.2% in February.
03:21Now in this, there is hope from March.
03:24Experts believe that there will be more clarity in March regarding China's inflation.
03:29Because investors would like to see how much the government's stimulus policies are increasing
03:34domestic demand.
03:35China has been in a period of decline in prices for the longest time since the 1960s due to
03:40weak expenses and real estate crisis.
03:42So the decline in China is not due to inflation, but it is due to the decline of inflation,
03:48which is not good for the economy there.
03:51China is the second largest economy in the world, and in this case, it is not a good
03:57sign for the country to fight deflation.
04:00That's all in this video.
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